House Prices Falling In NI

According to a survey by the Royal Institution of Chartered Surveyors, house prices in Northern Ireland will continue to fall this year.

The report by RICS and Ulster Bank shows prices are expected to fall over the next three months.

Reduced household incomes and a growing number of house repossessions are responsible for the dip in the market, according to RICS.

However, falling prices have led to an increase in house sales and the RICS recorded a rise in the number of properties sold during the last three months.


RICS housing spokesman, Tom McClelland, said: "It is clear that consumer confidence remains low due to high inflation, as well as the measures that have been put in place to deal with the UK deficit and due to the general economic environment.

"Household incomes are falling in real terms, and interest rates will rise, but will likely still be very low in historic terms for some time.

"However, where asking prices are realistic, sales will take place, and this will continue to be the case."

Mr McClelland added that some sectors of the market are seeing steady activity such as houses priced under £125,000 and keenly priced new build houses.

(JG/GK)